AUDUSD stays firm into G20 with reports of a US-Sino trade truce

The Australian Dollar is often viewed in the Forex world as a barometer of risk appetite.

The rebound from mid-June has partially reflected the US Dollar weakness from a more dovish Fed, but also a firmer Australian Dollar, driven partially by higher Base Metals prices.

Also, reports of a possible trade war truce at the G20 this weekend between Chine and the US is helping AUDUSD to the upside.

AUDUSD intermediate-term bull threat to critical .7022

A further push higher on Wednesday having
dipped and rebounded exactly from our .6940 support, building on Tuesday’s
break through the key .6973 level (that saw an intermediate-term shift from
bearish to neutral), reinforcing the whole recovery effort from mid-June, to
keep the threat higher Thursday.

The late June push above the .6973 level set a
broader, intermediate-term range as .7022 to .6829, BUT with strong
threat to .7022 for a bullish intermediate-term shift.

For
Today:

We see an upside bias
for towards .6999 and critical .7022, maybe .7048.

But below .6940 opens
risk down to .6901.

Intermediate-term
Range Breakout Parameters: Range seen as .7022 to .6829.

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